Why FG yet to begin direct payment to LGAs – ALGON

The federal government is yet to commence direct allocation to Local Government Areas (LGAs) due to ongoing procedural processes, the Association of Local Governments of Nigeria (ALGON) has said. Chairman of ALGON’s Board of Trustees, Odunayo Alegbere, stated this on Friday in Abuja after a meeting of the association. He explained that local governments have […]

Why FG yet to begin direct payment to LGAs – ALGON

The federal government is yet to commence direct allocation to Local Government Areas (LGAs) due to ongoing procedural processes, the Association of Local Governments of Nigeria (ALGON) has said.

Chairman of ALGON’s Board of Trustees, Odunayo Alegbere, stated this on Friday in Abuja after a meeting of the association. He explained that local governments have been instructed to open accounts with the Central Bank of Nigeria (CBN) to facilitate the seamless implementation of direct allocations.

While acknowledging that the process is still incomplete, Alegbere commended the Federal Government for its progress, citing the Supreme Court’s judgment on financial autonomy for local governments as a significant milestone. He noted that the government is working towards implementing this judgment, which includes both administrative and political autonomy for LGAs.

He assured that direct allocation would help combat poverty at the grassroots level, as local governments would gain greater control over their finances and development projects.

Alegbere also criticised the current system where states conduct local government elections, describing it as more of a selection process than a genuine democratic exercise. He expressed optimism that the ongoing constitutional amendment by the National Assembly would address this challenge.

“We are happy with the president, and while we have not yet reached our goal, we are making steady progress,” he said.

He said  direct allocation would be instrumental in reducing poverty at the grassroots level.